§ 35 — Direct interstate mead and braggot shipments

§ 35. Direct interstate mead and braggot shipments. 1. Authorization.\nNotwithstanding any provision of law, rule or regulation to the\ncontrary, any holder of a license to manufacture mead and/or braggot in\nany other state, who obtains an out-of-state direct shipper's license,\nas provided in this section, may ship no more than thirty-six cases (no\nmore than nine liters per case) of mead and/or braggot produced by such\nlicense holder per year directly to a resident of New York who is at\nleast twenty-one years of age, for such resident's personal use and not\nfor resale, provided the state in which such person is so licensed\naffords lawful means for shipments of mead and/or braggot to be received\nby a resident thereof who is at least twenty-one years of age, for such\nresident's personal use and not for resale, from a person licensed in\nthis state as a manufacturer and, provided further, that the state in\nwhich such out-of-state manufacturer of mead and/or braggot is located\naffords to New York state manufacturers of mead and/or braggot\nreciprocal shipping privileges, meaning shipping privileges that are\nsubstantially similar to the requirements in this section. No person\nshall place an order for shipment of mead and/or braggot unless they are\ntwenty-one years of age or older. Any common carrier with a permit\nissued pursuant to this chapter to whom such out-of-state shipper's\nlicense is presented is authorized to make delivery of shipments\nprovided for hereunder in this state in compliance with this section.\n 2. License. Before sending any shipment hereunder to a resident in\nthis state, the out-of-state shipper shall first obtain a license from\nthe authority under procedures prescribed by rules and regulations of\nthe authority and after providing the authority with a true copy of its\ncurrent license to manufacture mead and/or braggot in the applicant's\nstate of domicile along with a copy of the applicant's federal basic\npermit and/or brewer's notice after payment of an annual fee of one\nhundred twenty-five dollars. Notwithstanding the provisions of section\none hundred ten of this chapter, the authority in its discretion, may\nexcuse an out-of-state manufacturer of mead and/or braggot from the\nsubmission of such information.\n 3. Licensee's responsibilities. The holder of an out-of-state direct\nshipper's license:\n (a) shall ship no more than thirty-six cases (no more than nine liters\nper case) per year of mead and/or braggot produced by such license\nholder directly to a New York state resident who is at least twenty-one\nyears of age, for such resident's personal use and not for resale;\n (b) may ship within the same packaging any and all alcoholic beverages\nit lawfully produces and which it sells in accordance with its shipping\nprivileges and responsibilities pursuant to the provisions of this\nsection and sections fifty-nine-b, sixty-eight, and seventy-nine-c of\nthis chapter, as applicable;\n (c) shall ensure that the outside of each shipping container used to\nship mead and/or braggot directly to a New York resident is\nconspicuously labeled with the words: "CONTAINS ALCOHOLIC BEVERAGES -\nSIGNATURE OF PERSON AGE 21 OR OLDER REQUIRED FOR DELIVERY - NOT FOR\nRESALE," or with other language specifically approved by the New York\nstate liquor authority;\n (d) shall maintain records in such manner and form as the authority\nmay direct, showing the total amount of mead and/or braggot shipped into\nthe state each calendar year; the names and addresses of the purchasers\nto whom the mead and/or braggot was shipped, the date purchased, the\nname of the common carrier used to deliver the mead and/or braggot, and\nthe quantity and value of each shipment;\n (e) shall in connection with the acceptance of an order for a delivery\nof mead and/or braggot to a New York resident, require the prospective\ncustomer to represent that he or she has attained the age of twenty-one\nyears or more and that the mead and/or braggot being purchased will not\nbe resold or introduced into commerce;\n (f) shall require common carriers to:\n (i) require a recipient, at the delivery address, upon delivery, to\ndemonstrate that the recipient is at least twenty-one years of age by\nproviding a valid form of photographic identification authorized by\nsection sixty-five-b of this article;\n (ii) require a recipient to sign an electronic or paper form or other\nacknowledgement of receipt as approved by the authority; and\n (iii) refuse delivery when the proposed recipient appears to be under\ntwenty-one years of age and refuses to present valid identification as\nrequired by subparagraph (i) of this paragraph;\n (g) shall file returns with and pay to the New York state department\nof taxation and finance all state and local sales taxes and excise taxes\ndue on sales into this state in accordance with the applicable\nprovisions of the tax law relating to such taxes, the amount of such\ntaxes to be determined on the basis that each sale in this state was at\nthe location where delivery is made;\n (h) shall keep all records required by this section for three years\nand provide copies of such records, upon written request, to the\nauthority or the department of taxation and finance;\n (i) shall permit the authority or the department of taxation and\nfinance to perform an audit of such out-of-state shipper upon request;\n (j) shall execute a written consent to the jurisdiction of this state,\nits agencies and instrumentalities and the courts of this state\nconcerning enforcement of this section and any related laws, rules, or\nregulations, including tax laws, rules or regulations; and\n (k) shall prior to obtaining an out-of-state direct shipper's license,\nobtain a certificate of authority pursuant to section eleven hundred\nthirty-four of the tax law and a registration as a distributor pursuant\nto sections four hundred twenty-one and four hundred twenty-two of the\ntax law.\n 4. Situs. Delivery of a shipment in this state by the holder of an\nout-of-state direct shipper's license shall be deemed to constitute a\nsale in this state at the place of delivery and shall be subject to all\nexcise taxes levied pursuant to section four hundred twenty-four of the\ntax law and all sales taxes levied pursuant to articles twenty-eight and\ntwenty-nine of such law.\n 5. Renewal. The out-of-state shipper may annually renew its license\nwith the authority by paying a one hundred twenty-five dollar renewal\nfee, providing the authority with a true copy of its current license in\nsuch other state as an alcoholic beverage manufacturer and by complying\nwith such other procedures as are prescribed by rule of the authority.\n 6. Rules and regulations. The authority and the department of taxation\nand finance may promulgate rules and regulations to effectuate the\npurposes of this section.\n 7. Enforcement. The authority may enforce the requirements of this\nsection including the requirements imposed on the common carrier, by\nadministrative proceedings to suspend or revoke an out-of-state\nshipper's license and the authority may accept payment of an\nadministrative fine in lieu of suspension, such payments to be\ndetermined by rules or regulations promulgated by the authority. In\naddition, the authority or the attorney general of the state of New York\nshall report violations of this section, where appropriate, to the\nUnited States department of treasury, tax and trade bureau, for\nadministrative action to suspend or revoke the federal basic permit.\n 8. Violations. In any action brought under this section, the common\ncarrier and the licensee shall only be held liable for their independent\nacts.\n